Rivian Sues Ohio Over Direct EV Sales Ban

Rivian has filed a federal lawsuit against Ohio’s Department of Motor Vehicles, challenging the state's 2014 law that bans direct-to-consumer vehicle sales by automakers, except for Tesla, which is allowed three direct-sale stores under a special carve-out. Rivian contends that the law is unconstitutional and unfairly protects established dealer networks, reducing competition and limiting consumer choice in Ohio. Currently, Rivian buyers in Ohio must purchase their vehicles in other states and have them shipped, incurring additional costs and inconvenience. The company seeks judicial approval to apply for a dealer license, enabling direct sales within Ohio, as Tesla is permitted. The lawsuit underscores the national debate between emerging EV companies and entrenched dealership interests, fueled by strong auto dealer lobbying. Ohio’s Bureau of Motor Vehicles and the Ohio Automobile Dealers Association have not yet commented on the case.